U.S. chemical giant Dow Chemical Co. is selling its polypropylene licensing and catalyst operation to W.R. Grace & Co. for $500 million.
The deal, which was announced on Oct. 11, is part of a planned divestment process by Dow Chemical that was first announced on March 14.
"Today's announcement is another clear demonstration of Dow's rigorous focus on selectively shifting our portfolio away from assets that are no longer a strategic fit and optimizing their value," said Andrew Liveris, Dow's chairman and CEO.
"Our accelerated strategy is focused on narrowing our market participation and preferentially funding our select growth businesses with strong competitive positions in attractive markets such as electronics, water, packaging and agricultural sciences.
"We are planning further proactive divestments in the next 12 months in our relentless pursuit of rewarding shareholders."
The move will see some 90 staff transfer to the new owner. The deal includes Dow's PP catalyst manufacturing facility at Norco, La., and customer contracts, licenses, intellectual property and inventory.
Midland, Mich.-based Dow, which is exhibiting in Hall 8a at K 2013, plans to divest nearly $1.5 billion in assets by mid to late 2014.
W.R. Grace is based in Columbia, Md.